WEBVTT - Walmart Slips on Outlook, Blue Owl Tumbles, Alphabet Rises

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News.

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<v Speaker 2>The Stock Movers Report, your roundup of companies making moves

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<v Speaker 2>in the stock market, harnessing the power of Bloomberg Data.

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<v Speaker 3>Let's take a look at some stocks on the move.

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<v Speaker 3>I'mmli Grafeo jumping ahead of Carol Masser here, and we're

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<v Speaker 3>joined by Bloomberg News cross As reporter Tanitza Sikova. Okay,

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<v Speaker 3>let's go to retailers.

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<v Speaker 4>Yeah, we're talking about uncertainty in the economy, and what

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<v Speaker 4>a better place to start than Walmart. Walmart had a

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<v Speaker 4>pretty rough day yesterday and today's down about two percent.

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<v Speaker 4>The ticker, of course, is WMT. The firm forecasted less

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<v Speaker 4>earnings growth than analysts are expecting. Of course, we know

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<v Speaker 4>Walmart is always on the conservative sides when it comes

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<v Speaker 4>to earning sestimates, but still we're seeing some concerns because

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<v Speaker 4>even HSBC cut their recommendation for the retailer from buy

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<v Speaker 4>two hold, So clearly the analysts are taking seriously. What

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<v Speaker 4>is happening is obviously the economy is expanding at a

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<v Speaker 4>fast pace, but there aren't too many jobs being aut it,

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<v Speaker 4>so clearly that's case shape recovery or whatever. You call.

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<v Speaker 4>It is definitely weighing on the company. The number everyone

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<v Speaker 4>is worried about is are they expect earnings to rise

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<v Speaker 4>from two doors seventy five cents to two doors eighty

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<v Speaker 4>five cents And the street was actually expecting nearly three doors,

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<v Speaker 4>so pretty big gap that clearly is worrying investors. The

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<v Speaker 4>stock is of more than nine percent year to day,

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<v Speaker 4>so needless to say, there is just kind of a

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<v Speaker 4>short term thing.

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<v Speaker 1>It's also been on a tear, I mean more than

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<v Speaker 1>what SEV twenty four, up about twenty three percent last year.

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<v Speaker 4>For sure, and it's coming from a very strong rally well,

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<v Speaker 4>and I.

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<v Speaker 1>Think a lot of people like what they've been doing

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<v Speaker 1>right in terms of some of the shifts and a

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<v Speaker 1>lot of stress on digital.

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<v Speaker 4>This show has been a big revenue for them or

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<v Speaker 4>one of the grows fastest growing parts of the business

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<v Speaker 4>for sure.

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<v Speaker 3>All right, I ordered anything from Walmart though, yeah, I

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<v Speaker 3>just think, like, I.

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<v Speaker 4>Mean Amazon, I wouldn't think of it. Yeah right, you

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<v Speaker 4>said Amazon. But Amazon is actually displaced Walmart as the

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<v Speaker 4>company with the largest revenue today.

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<v Speaker 1>But does that include a WS I think so. Yeah,

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<v Speaker 1>So it's not apples to Apple, it's not like retail.

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<v Speaker 1>The retail I've been looking.

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<v Speaker 4>At ignore it's agnoment.

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<v Speaker 3>All right.

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<v Speaker 1>My understanding is Walmart is still the biggest physical retailer,

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<v Speaker 1>like physical store retailers, like there's a distinction, right, all right, Amazon,

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<v Speaker 1>I was thinking about We're going to go somewhere, but

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<v Speaker 1>I'm thinking about your credit world. Yes, have you been

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<v Speaker 1>talking a lot about Blue Owl.

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<v Speaker 3>Yes, that's been the big focus right now, and in

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<v Speaker 3>fact it's one of the most red stories on the

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<v Speaker 3>Bloomberg terminal for today. It might even hit the most

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<v Speaker 3>read for the week as well. Yes, we're closing out

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<v Speaker 3>the week, but so much focus here on private credit

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<v Speaker 3>and what it means for retail getting into private credit.

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<v Speaker 3>Tell us about blue Owl stock. This is interesting because

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<v Speaker 3>we get a public look to how this sector is performed.

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<v Speaker 4>Yeah, for sure, BBC's it's something we've been looking for

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<v Speaker 4>the rest of the time. Yeah, there was the whole

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<v Speaker 4>conversation about cocroaches. But what we're seeing now is a

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<v Speaker 4>lot of the funds that kind of appeared in the

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<v Speaker 4>last few years, the whole exposure to retail. There's like

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<v Speaker 4>Evergreen funds, interval funds. There was just like a slew

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<v Speaker 4>of vehicles that now allow retails investors to access the

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<v Speaker 4>space are under pressure. And blue Out is the example

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<v Speaker 4>that is happening this week. The ticker is all WL.

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<v Speaker 4>The stock is down about six percent now here today

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<v Speaker 4>it's down twenty seven percent. And it's not only blue Out.

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<v Speaker 4>We have rs, we have Apollo, we have black songe KKR,

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<v Speaker 4>all those names in the private credit and private equity

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<v Speaker 4>space are under a lot of pressure. What happened is

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<v Speaker 4>there was a decision to restrict with drawers from one

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<v Speaker 4>of its private credit funds, and of course those withdrawers

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<v Speaker 4>were already quarterly. It's not like this is not atf

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<v Speaker 4>you can all just go and withdraw your money. But

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<v Speaker 4>now there is more and more pressure, and clearly investors

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<v Speaker 4>are very jittery about down twenty seven percent year to date,

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<v Speaker 4>and everyone has been looking for cracks when it comes

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<v Speaker 4>to private credit, and fundraising has been really slowing down

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<v Speaker 4>for private credit. So in terms of what's happening in

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<v Speaker 4>the future, we're definitely seeing investor worry.

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